How to Get Tax Relief through the IRS Offer in Compromise Program

The IRS Offer in Compromise program is designed for people who, for whatever reason, are absolutely incapable of paying off their tax debt in full. It can be a powerful tool in helping you permanently eliminate your tax debt. If you owe back taxes to the IRS and you are unable to pay the debt in full, you may be eligible for this program.

It is important to consult with a qualified tax professional first to analyze your current financial situation, previous tax returns and other records. By determining exactly how much you owe the IRS, you are ensuring that you’re not obligating yourself to pay even a penny more than what you owe.

Under this Offer in Compromise program, you and your tax professional can negotiate with the IRS a final settlement amount that will retire your tax debt once and for all. Oftentimes, this settlement amount to pennies of the dollar of your tax debt.

In this current economic downturn, the IRS has announced that it will be providing help to those Americans struggling to meet their tax obligations this year. This is a difficult time for many Americans facing financial hardship, but with the IRS pledging to offer greater flexibility to troubled taxpayers, there’s a unique opportunity for Americans to get the tax help they need now to resolve their IRS debt.

Although you will want to discuss the particulars of your tax situation with your tax consultant, here are some things you will need to know about qualifying for the Offer in Compromise program:

Who can file an Offer In Compromise?

Any taxpayer may file: individuals, married couples, trusts, corporations, limited partnerships, limited liability companies, foundations, associations and other non-profit organizations and estates. In each instance, a duly authorized individual must sign the Offer in Compromise.

What are the requirements for an Offer in Compromise?

In order to be considered for an Offer in Compromise, a taxpayer must meet all of the following requirements:

* Used the most current version of Form 656, “Offer in Compromise,” dated February, 2007 and Forms 433-A and 433-B, “Collection Information Statements, ” dated January, 2008
* Submit the 0 application fee, and the 20% non-refundable deposit with Form 656 Offer in Compromise
* Filed all required federal tax returns
* Is not a debtor in a bankruptcy case.
* Taxpayers must comply with all federal tax filing and paying requirements for a period of five years following acceptance of their Offer in Compromise, or until the Offer in Compromise is paid in full, whichever is longer. This also includes making required estimated tax payments and federal tax deposits.

What is the most common reason for large tax liabilities that force taxpayers to file Offers in Compromise?

Large tax liabilities are generally caused by unpaid withholding (payroll) taxes. Owners and other responsible parties within a business are personally assessed the unpaid trust portion, or taxes actually deducted from the employees. This is called the 100 percent penalty assessment.

If business owners cannot pay the full withholding tax, they should at least pay the trust portion -that amount withheld from employees-and designate that the payment be applied only to the trust portion liability. The business will owe its share of the payroll taxes due, but its officers and other responsible parties will have no personal liability. Other common reasons for filing an Offer In Compromise include extensive audits, not fling for a number of years or tax shelter investments that are disallowed.

Can penalties and interest be compromised under an Offer in Compromise?

Yes. Penalties and interest can both be compromised in the same way as the underlying tax liability. In fact, in submitting an offer, you must include all owed taxes, plus penalties and interest, for your offer to be considered. However, if penalties are your major concern, then consider a penalty abatement, particularly if you have reasonable grounds for the IRS to waive the penalty. The abatement process is far simpler than an OIC, and it is your proper remedy when you can pay the tax, but believe you have justification for being excused from the penalties.

How likely is it that the IRS will accept an Offer in Compromise?

In the past, the chances of acceptance were poor-only about one in four. The odds of settling with the IRS are now far better because the IRS has liberalized its OIC policies. Taxpayers and their advisors, in turn, have also become more realistic in their offers to the IRS. A realistic Offer in Compromise now stands an excellent chance of acceptance. If you closely follow the instructions in this product, you should have no trouble reaching a fair and workable settlement with the IRS.

How long does it take for an Offer in Compromise to be approved by the IRS?

Generally, you must allow 6-12 months. If you case gets rejected and we take it to Appeals, it could take longer. But no matter how long it takes, a qualified tax professional can often negotiate to have all collection activities suspended.

Will an Offer in Compromise show up on my Credit Report?

A: No. Unlike a bankruptcy or credit card charge off, an Offer in Compromise does not get reported to the credit reporting agencies. An offer in compromise will not negatively affect your credit score. However, ignoring the problem will cause the IRS to file a notice of federal Tax Lien, with your county recorder, which WILL show up on your credit report.

For more information on submitting an Offer in Compromise or to get professional tax advice on reducing your IRS debt, visit www.taxresolution.com for a free tax relief consultation or call 866-IRS-PROBLEMS.

Michael Rozbruch is one of the nation’s leading tax experts. A Certified Tax Resolution Specialist (CTRS), licensed CPA and the founder of Tax Resolution Services. He helps individuals and small businesses solve their IRS problems and is dedicated to educating the public on tax planning and other strategies for managing their personal and business finances.


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Michael Gray interviews attorney William Mahan about the tax consequences of real estate short sales and foreclosures for the Financial Insider Weekly. Part three of three focuses on federal tax relief and bankruptcy.
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Bankruptcy Or Debt Relief, Hamilton (NJ): Which Should You Choose?

If a person has incurred a lot of debt on his payday loans, medical bills, credit card bills, and other loans, it is time for him to find debt help to get out of this financially critical situation. He can go to a debt relief company and take advantage of the different options to get rid of his financial obligations. However, if the arrears have reached an exorbitant amount then it would be best to opt for bankruptcy.

Usually for getting debt relief, a person has to get enrolled in a company. The company representative will analyze his financial situation and prepare a budget for him, so that he can save more to pay off the sum unpaid. The representative then helps the person to select a program that can help him get rid of the financial obligations. The different types of debt relief options that may help a person are as follows-

* Debt management: If a person opts for this program with a debt relief company, the representative of the company will negotiate, on his behalf, with the creditors, to reduce interest rate on his amount overdue. The representative may also negotiate to waive off penalties towards late payment. Instead of paying multiple creditors, the person will have to make a single payment to the company and they will distribute the money amongst the creditors.

* Debt consolidation: In this option all the multiple bills of the person will be consolidated into a single new loan, at lower interest rate with a reduced monthly payment. Sometimes penalties for late payment and over limit charges may also be waived off.

* Debt settlement: In this option the company representative will negotiate with the creditors to reduce outstanding debt amount by 40 to 60 percent. However, the person will have to pay taxes for the forgiven part of his debt. This option can save a person from wage garnishment.

However, if a person is unable to take advantage of any of the options mentioned above, the best thing for him would be filing for bankruptcy. Bankruptcy helps a person to discharge his debts by either paying nothing or by entering into a much more affordable repayment plan. Whatever may be the case, one needs to consult an experienced bankruptcy lawyer.

If you want to take advantage of debt relief- Hamilton (NJ) options through bankruptcy, log onto www.peterzimnislaw.com. This reputed law firm has been serving the residents of New Jersey over years. If you want to know more, contact them now and schedule an appointment.

For legal help on debt relief Trenton NJ, contact The Law Office of Peter E. Zimnis. Visit website Peterzimnislaw.com for more information.


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Tax Relief ? Can You Get Back Seized Property?

Tax charges are essentially the seizure of your property from the IRS because of outstanding debts that you have owed for a certain period. In general, taxes are imposed in extreme cases. It only happens when were several chances missed or ignored the debt paid, or, if a taxpayer does not pass a tax relief program to keep his share of the bargain. Charges are then the drastic measures and usually means you’re in big trouble.

http://www.taxcompromise.pannipa.com/2009/11/14/tax-relief-can-you-get-back-seized-property/

What happens if the IRS is takingYour assets? The IRS is planning to sell your property as quickly as possible, so that it back a very small window of opportunity to him. Meaning, you must act quickly. Yes, there is a chance to recover your property. It may be slim, but it’s still worth a try.

To get your money back, you must pay the full amount of the debt owed, including penalties and interest incurred. Of course, the chances that these are an option are very slim, there are also take other options. If you can provethat your health is affected by the levy, you could explain to financial difficulties, in an attempt to redeem your credit. You can also prove that the property was taken in order to run your business is important and necessary to generate revenue.

If you do not already have a tax relief before the levy was imposed, you can try to negotiate for one now – especially the offer or plan to call into question the rate agreement. However, for tax reliefgranted by the government, there are usually no more second chances from there.

http://www.taxcompromise.pannipa.com/2009/11/14/tax-relief-can-you-get-back-seized-property/

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Top 3 Steps to IRS Tax Debt Relief

IRS debt is a problem, but there is IRS tax help for every case. Here are three steps to get you started.

If you are currently struggling with an IRS tax lien or have not filed your federal income taxes for a number of years, it is crucial that you understand that IRS debt is not a problem that will simply go away without IRS tax help. However, it is also a problem that has a solution. By taking the time sit down with qualified IRS tax attorneys to assess your current IRS debt situation, you can finally start taking steps to rid yourself of your IRS debt for good. Here are three simple steps that demonstrate how IRS tax attorneys can help you resolve your outstanding debt with the IRS.

Stop Avoiding Your IRS Debt: Contact IRS Tax Lawyers

Although people find themselves dealing with IRS debt for a wide variety of reasons, most people end up getting behind on their taxes due to negligence or oversight. While taking on your IRS debt can seem like a daunting task, there are some amazing IRS tax attorneys out there that can provide you with IRS tax help that will walk you through the process step by step.

Sit Down With IRS Tax Attorneys To Develop A Solid Strategy

By working one on one with IRS tax lawyers, you will have the the IRS tax help that you need in order to decide which route you want follow in order to settle your debt with the IRS. Whether you want to negotiate an offer in compromise and pay the IRS a lump sum as a partial payment or file an appeal against an existing tax lien, IRS tax lawyers have the expertise to help you navigate the complex world of IRS tax law.

Commit To A Solution And Get Rid Of IRS Tax Debt For Good

Once you have worked out a plan of attack with your IRS tax lawyers, you will begin feeling like you are finally back in control of your relationship with the IRS. By making a commitment to continue working with the IRS until the matter is resolved, you will eventually find that your IRS tax problems are a thing of the past.

Briana Lucas is the author of this article on IRS tax help. Find more information about IRS tax attorneys here.


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In an attempt to collect back taxes, the IRS places a lien on the assets of a taxpayer. A Notice of Federal Tax Lien is filed to secure the government’s place as a creditor. It also attaches to all of your property and can ruin your credit for years. Needless to say, an IRS tax lien can be emotionally devastating in the long term. No taxpayer’s credit benefits from the presence of an IRS lien. Be aware of the fact that the IRS has, in most cases, displayed reluctance prior to seizing one’s property. As a result, one is advised to work and cooperate with the IRS to reach a tax settlement before the actual seizure occurs. Liens leave stains that are extremely hard to wash out. If you contact us before the IRS files its lien, an income tax settlement lawyer can in most circumstances get a commitment from the IRS that the Notice of Federal Tax Lien will not be filed on you. If you already have a lien filed and are looking to refinance your home, we can often negotiate a Lien Subordination with the IRS that will allow you to complete your refinancing. We can also offer help in the event of wage garnishment and other penalties.

An Effective Debt Relief Solution is Debt Settlement

For debt settlement generally companies only work with people who owe more than ,500. There may be other requirements as well. You will need to determine if you have the money for debt settlement. Subtract from your monthly income your normal living expenses, including housing, transportation, utilities, food, and insurance. If you have money left over, then debt settlement may be right for you. If you don’t, you probably should not try debt settlement. Search for a debt settlement company. Don’t sign with the first company you find. Instead, read through what services they provide and what they expect from you. Look for companies that have been in business for a while. Make sure they have been approved by the Better Business Bureau. With debt settlement, you can reduce the total amount you owe and improve the relationship between you and your creditors. Also, you can pay your debt quicker as long as you remain faithful to the settlement offer. Debt settlement can also incur potential tax problems, and may hurt your credit rating. It may encourage your creditors to initiate law suits against you. Also, it could increase the frequency of calls to you by your creditors.

 

The “Debt Relief Freedom Program” is a leading alternative solution for Americans that are overwhelmed by debt. Freedom Debt Relief is a leader in providing debt resolution solutions. This debt relief program is for consumers with financial hardship that need a low monthly program payment to resolve their debts in a short time frame. Their goal is to save you the most possible money and to get you debt free in the shortest amount of time. Deft Relief Freedom could be your solution in identifying the right tools needed to be successful in achieving independence from debts. If you think you are finally ready to stand up to your debt with a little determination and a dash of debt management, congratulations. After making the decision to seek debt help, it is going to be smooth sailing from here on out. The debt relief services we offer range from consolidation, to debt elimination, to refinancing. These debt relief options all have the ability to save you a lot of time and money.

 

The better alternative for debt relief services in 2010 is debt consolidation program. For debt consolidation, you need to own your own home to qualify for a debt consolidation loan. Debt consolidation is a home equity loan and thus makes your mortgage payment larger. Other qualifications may include a minimum FICO score, steady employment, and a minimum monthly income. Find out how much you will save with a debt consolidation loan rather than paying your credit cards’ minimum payments. Determine if you can afford to make a larger mortgage payment. To figure this out, subtract from your monthly income, any food, transportation, and insurance costs. If you don’t have enough money to cover a larger mortgage payment, then debt consolidation is not right for you. If you do qualify, determine if the benefits of debt consolidation outweigh its complications. Debt consolidation can lower monthly payments and reduce interest rates for your unsecured debt. This is debt relief freedom. Plus, you only have to make one payment, and you can write off the interest. However, with debt consolidation, it will take you longer to pay your bills. Before you’re done, you may be tempted to use your credit cards again. Plus, you will spend more money in interest over the life of the loan. You could also lose your home if you can’t make your payments. Hence it is important to determine how much unsecured debt you have from credit monitoring company.


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IRS Tax Relief- How to Avoid Tax Relief Scams

Tax season comes and goes annually. Many of you may happen to find yourself in tax trouble during this time.

Are you considering assistance for tax debt relief? If so, you should always beware of what you seek. Seek help from registered tax professionals like certified tax attorneys, or else you may find yourself in a debt relief scam. I suggest you visit Instant Tax Solutions website on how to avoid tax scams and review our tips.Tax defrauds are on the advance and you might just be caught up in one. Following are tips about the offer in compromise platform and required questions to ask your self when seeking legitimate, clerical tax help.

One thing you should be concerned about in doing an offer in compromise is how to know you are not being scammed by the tax attorney or firm that you hired. There are a lot of fraudulent companies out there.

This is very true about tax scams. Naturally, scams are everywhere. It happens to all types of industries. Each Year about this same time, the number of scams begin to rise. This is right after people have filed their returns and begin to realize they’re in significant debt. There are two parts in addressing this issue:

Foremost, you should determine whether the offer in compromise is something for you to do on your own or something you should be addressing with the assistance and consultation of a qualified tax professional or tax attorney.

Your initial step would be to determine whether you even measure up for the program. If you owe a essential amount to the IRS and you now miss the ways to pay that amount, you may qualify for the program.

A registered professional will examine your past returns, evaluate your actual situation, and provide you with a conclusion of whether an offer in compromise would be good for you. If you are one of those who condition, an offer in compromise can reduce your debt significantly.

Fraudulent individuals often prey on those with tax problems, particularly at this season. This is the second part of my address. Numerous tax attorneys will even lay claim that they have experience in talking terms about offer in compromise with the IRS. But most all of these con artists are short-lived procedures using questionable marketing tactics.

The best advice if ever you badly need to hire a tax attorney is to research their tax professional background: ask about license, years in practice, any membership in professional associations, references, and so on. Make sure you find a qualified tax team like Instant Tax Solutions to assist you in your tax debt problems.

Need an IRS Tax Attorney? Get Tax Relief from our team of experienced attorneys, lawyers, CPA’s and IRS enrolled agents. Free Tax Relief Consultation.


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Debt Relief Programs – Advantages and Disadvantages of Using Debt Relief Programs

There are several debt relief programs available for individuals who want to reduce or eliminate their financial liabilities. Some of these debt relief programs are debt settlement, consolidation, and management. All these choices work in different ways, and in turn, offer several pros and cons to consumers.

Debt Settlement
A debt settlement allows an individual to reduce the total amount of debt owed. This is done through negotiations entered into by the creditor and the debtor, either by himself or through a settlement company. Debt settlements do not have fairly consistent results; the reduction, if approved and implemented, varies depending on the individual’s financial status, his standing with the creditor, and the negotiator’s skills in persuading the creditor in decreasing the amount owed.

Benefits:
- The amount owed will be reduced. This will help debtors in managing monthly payments.
- Creditors will change the status of a consumer’s account, making it current, once he is enrolled in a debt relief program.
- A settlement will remove the fees and interests on the outstanding balance as well as the over limit fees, making payments more affordable.

Drawbacks:
- A consumer’s credit scores will be affected once he goes into a debt settlement program.
- The balance that is waived will be showed as income and taxes on the said amount will have to be filed.

Debt Consolidation
Consolidation involves taking out another loan to pay off all existing debt, thereby having only to pay off one remaining loan at a lower interest rate and with far less fees.

The main benefit to consolidation as one of the feasible debt relief programs is the ease in making payments – an individual will only have to think of a single due date, and at the same time, keep track of payments that have been made. Debt consolidation also means paying off only one interest at lower rates.

One possible drawback to consolidating debt is the possibility of owing even more money if the plan does not work out. Not all consolidation companies provide reliable services and may take advantage of a debtor’s situation.

Debt Management
Debt management is a way for people to pay off debt through the help of a counselor or some other professional within the industry. This professional will typically go over the person’s finances and help him come up with a repayment plan.

Some pros to debt management are the probable reduction of monthly dues. It is also an informal agreement that does not require insolvency procedures such as bankruptcy. Another benefit to debt management is the possibility of preventing creditors from taking action against the individual once an agreement with the creditor has been reached.

One major disadvantage to debt management is the risk of having the creditors change their minds about the agreement, as it is not formal. The consumer’s credit rating will also be affected.

If you want to get out of debt and hire a debt settlement company for debt negotiation then I have an important piece of advice. Do Not go directly to a particular debt settlement company but rather first go to a debt relief network who is affiliated with several legitimate debt companies. In order to be in the debt relief network, the debt settlement companies must prove a track record of successfully negotiating and eliminating debt. They must also pass an ethical standards test. Going through a debt relief network will ensure that the debt company you are provided with is a legitimate and respected company. This is the most efficient way in finding the best debt settlement companies and increasing your chances of eliminating your debt.

FreeDebtSettlementAdvice.com is one of the largest and most respected debt relief networks on the marketplace today. To find a debt settlement company through FreeDebtSettlementAdvice.com check out the following link:Free Debt Advice

debtreliefemergency.com is a matchmaker in the debt settlement industry. They have paired up thousands of consumers up with debt settlement companies who are most likely to get consumers the best deal.

http://www.debtreliefemergency.com/


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In this new web commercial from Freddie Mac, learn to spot a foreclosure scam and find out how to avoid becoming victim to home foreclosure fraud. (Follow this link for a Spanish version: www.youtube.com/watch?v=qQQJ6unRYaY)
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Irs Tax Relief – Clear Up Your Tax Bills Today

If your owe back taxes or have unfiled returns you most likely want to clear then up as soon as possible and that is why you should seek out IRS tax relief from the experts. Those tax bills can really cause undue stress in your life and making them disappear can really change your life for the better. But going it alone can be dangerous, even foolish when there is IRS tax relief available. All too often people take the IRS’s version of what is owed as gospel and end up paying way too much in interest and fines. Don’t be one of those unfortunates.

IRS tax relief is available for you and all you have to do is take the initiative to get started on the road to clearing up your tax debt. If you are getting threatening bodices or phone calls regarding the taxes you owe, put a stop to it now. There is no reason for you to be dealing with that. Get the experts to take a look at your situation and advise you how to handle it. Tax experts can put a stop to all the harassment and start you on the road to tax debt recovery.

Getting IRS tax relief is easier than you may think. The IRS really doesn’t want a fight, they just want you to give in and pay what they tell you too. When they smell a fight, like when you sick the tax experts on them, they all of a sudden decide to deal and that is when your team of experts goes in for the kill. They know exactly how to play the game with the government and IRS agents know it. The IRS realizes that your tax experts know their stuff and are unwilling to protract out a long tax fight. Rarely, is the IRS not willing to drastically reduce the size of your tax bill and waive their outrageous fees and fines in the interest of settling a debt.

But, remember don’t delay seeking out IRS tax relief the quicker you act, the better off you will be. Letting things slide when it comes to back taxes or unfiled returns is definitely not advisable as it gives the IRS more ammunition, something you should never ever do. So, don’t panic. Get the IRS tax relief you deserve and clear up that tax debt real soon.

For more information on IRS Tax Relief visit our site. We have many self-help articles as well as connections to our top Tax Professionals that can help resolve your problems.


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IRS Tax Debt Relief Alternatives for Different People

Having the need to pay the IRS for back taxes can result in much more difficulties, specifically if you disregard the initiatives of the bureau to speak to you. For those who have an issue, it’s not necessary to think twice to contact directly the involved bureau to be able to ask concerning the tax debt relief. The specific situation is absolutely not an unattainable instance due to the fact that presently there happen to be quite a few methods to cover back taxes.

You’ve still got sufficient money to pay for added obligations for those who have credit cards. You can actually incorporate the use of your credit card to pay extra for back taxes. In view that credit card firms offer you reasonably priced transaction programs as well as low interest rate, you should use your credit card to pay for the back taxes. In fact, even the Internal Revenue Service welcomes credit cards.

An additional alternative is usually to obtain a personal loan at a neighborhood financial institution or bank. On the other hand, this particular option is determined by how much the tax debt is. Banking institutions in addition charge cheap interest and thus financing might be able to remove or even improve your condition. This can be a versatile answer which you may like to think about. Look for a financial institution locally and make an application for a personal loan right now.

You can always approach your friends and family at times like these. These folks will certainly fully grasp your present finances, and so they can assist you to with your difficulty. In case your family or friends loan serious cash, you definitely no longer need to bother about added up interest as well as fines. Just remember to pay them back as soon as you have adapted to your situation.

The IRS is actually mailing out notices along with other contact letters to overdue taxpayers. The key reason why many people experience legal cases along with other legitimacy troubles is for the reason that they disregard the IRS. Based on the PR release of the IRS, they will definitely be uncomplicated in relation to concerns on back taxes. But bear in mind, this particularly does not imply that the bureau is not going to gather these back taxes.

You’re obligated to cover the cost of the required taxes. With one of these various options, you might be able to choose the correct one for you. Do not disregard the money you owe with the IRS. This may be the frequent error of taxpayers. They frequently believe that through disregarding their back taxes, the bureau will overlook the balance due. This really is incorrect. Find out more about tax debt relief options from an IRS tax attorney or a tax specialist to generate the best choice.

Find out more about tax debt relief options from an IRS tax attorney or a tax specialist to generate the best choice.


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Tax Debt settlement ? IRS Tax Debt Relief ? IRS Debt Settlement

When you are in debt to the IRS, You may consider your self as a simple person in a advance world. As the IRS just make your selection for paying the tax and you will feel them as very large intimidate who wants your money and they make you suffer for any unlucky event that leads you to pay taxes.  Paying tax to IRS can be frustrating and difficult for any one. So if you are passing from this type of critical situation in that case we can understand your pain and will definitely give you support for tax debt relief. The good thing is that we are offering you a several options. Here is some option for you to pay tax to the IRS.

Payment Plan:
The IRS does provide many payment plans to those who are not in situation of paying a entire tax at one time. They allow you to pay your tax debt in monthly installment instead of paying the entire debt at one time. This will give you more time to clear your debt and will not force you to take a loan for the American tax debt settlement. And also will not allow IRS to penalize you if your are paying your tax regularly and IRS will not get chance to take the money form your paycheck.

Take Out a Loan:
You also may ask the help of bank by taking loan to pay the IRS at once if don’t want to make your payments in installment . Well this is not the first option that many people choose. If your credit is really good, you can get a low interest loan so that you don’t suffer while paying a interest on loan.


Receive Permission:

If you are not interested in having a loan, you may be able to receive a grant for tax debt relief from IRS.  Because government offers millions of dollars of money to individuals who are in need of, you can receive some of this money to pay the IRS. The simple thing you have to do is just filling out an application form for a grant with the entire amount of money for paying a tax debt to IRS. This will help you to get tax debt relief and make your self free.

Our Tax Debt Relief experts will help you to debt free. Involve yourself in a free tax debt session with our taxation experts. Loan store will really help you to get tax debt help and will help you to make your finance position strong with our excellent services.


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